There are several species of needle miners. Spruce needle miner (Endothenia albolineana) attacks most types of spruces. Eggs are laid like shingles on the spruce needles. After hatching the larva enters the base of the needle, hollowing it out. The larvae cut the needles off after completely mining them. Dense mats of silk threads hold the dead needles on the twig. Larvae feed on one needle after another till fall. At this time, the larvae over-winter inside a needle. They emerge in the spring and feed till they pupate.
Apply an insecticide in early spring. Check with your local land grant university Extension Service for recommended insecticide.